CITIC Capital Chairman and CEO Zhang Yichen highlighted the pivotal role of private equity (PE) investments in driving China's real economy during a recent policy discussion. As a member of the 14th Chinese People's Political Consultative Conference (CPPCC) National Committee, Zhang emphasized that mobilizing capital toward productive sectors aligns with the nation’s broader financial strategy to foster sustainable economic growth.
"China's financial sector exists to serve the real economy," Zhang stated, noting that PE investments efficiently channel funds into industries like advanced manufacturing, green energy, and technology. Unlike traditional financing methods, PE acts as a catalyst for innovation by directly supporting high-potential enterprises while managing systemic risks.
Experts say Zhang’s remarks reflect Beijing’s evolving policy framework, which prioritizes quality growth over speculative ventures. The CPPCC, China’s top political advisory body, has increasingly focused on optimizing financial mechanisms to address structural challenges, including technological self-reliance and regional development gaps.
For global investors, China’s emphasis on aligning capital with long-term industrial goals signals opportunities in sectors deemed critical to national priorities. Analysts suggest that cross-border partnerships, particularly in green infrastructure and digital transformation, could gain momentum as regulations mature.
